Daniel Rock, Assistant Professor of Operations, Information, and Decisions at the Wharton School, discusses the lasting impact of COVID lockdowns on work practices, the reasons behind weak productivity in recent decades, and the importance of digital goods and intangible assets in driving a firm's value. They also share investment advice and recommend influential books and science fiction favorites.
AI has the potential to significantly impact different industries by increasing productivity and driving innovation.
Investing in art can offer an alternative asset class for investors without requiring millions or an art degree.
Deep dives
Investing in Art as a Diversification Strategy
New data from UBS shows that private assets like fine art can be valuable for diversification due to their historically low correlation with stocks. Masterworks, a platform that allows everyday investors to invest in art, has seen positive returns on their sold paintings, including impressive annualized net returns. Investing in art can offer an alternative asset class for investors without requiring millions or an art degree.
The Economic Effects of Digital Technologies and AI
Professor Daniel Rock, an assistant professor of operations, information, and decisions at the Wharton Business School, discusses the economic effects of digital technologies, particularly artificial intelligence (AI). He emphasizes the transformative potential of AI and how it can significantly impact different industries. AI is seen as a general-purpose technology that has the power to increase productivity, create new products, and drive innovation in various fields.
The Impact of AI on the Labor Market
Daniel Rock explores the impact of AI on the labor market. He highlights that almost every industry has a level of exposure to AI, but tech and information processing roles tend to be the most affected. While some low-wage jobs may be at risk, there are also opportunities for higher-wage roles, such as scientists and researchers, to benefit from enhanced productivity and the ability to make new discoveries. Rock remains optimistic about the potential of AI to boost productivity and generate new ideas.
Geopolitics and AI: Opportunities and Challenges
The race in AI between the United States and China is discussed, with a focus on the potential tensions and implications for technological advancement. While there may be geopolitical competition, Rock believes that collaboration in research is generally beneficial for the world. He suggests that restrictions on AI research are not necessary and that regulations should focus on tackling specific concerns, such as misuse or the creation of fake content.
Professor Daniel Rock is an Assistant Professor of Operations, Information, and Decisions at the Wharton School of the University of Pennsylvania. His research is on the economic effects of digital technologies, with a particular emphasis on the economics of artificial intelligence. His research has been published in various academic journals and featured in outlets such as The New York Times, The Wall Street Journal, Bloomberg, Harvard Business Review, and Sloan Management Review. In this podcast we discuss: the lasting impact on work practises after the COVID lockdowns, why productivity been weak in recent decades, understanding digital goods and intangible assets, and much more.